A leading academic has raised significant concerns regarding the funding model for tertiary education in Fiji, urging immediate reforms to improve efficiency and accountability. Dr. Mahendra Reddy, a Senior Fellow at the Graduate School of Business at the University of the South Pacific, praised Fiji’s commendable public investment in education, especially when compared to other small developing nations, but stressed that the allocation of these funds is equally crucial.
Dr. Reddy emphasized the necessity of education in Fiji’s socio-economic framework, stating, “Education is not a luxury for Fiji — it is a necessity.” He argued that in a small island economy with limited natural resources, enhancing human capital is vital for boosting productivity, diversifying the economy, and facilitating social mobility.
While acknowledging the positive aspects of the current funding approach—including operational grants to educational institutions, capital grants to public universities, and tuition scholarships for both public and private providers—Dr. Reddy raised alarms that these incentives could foster inefficiencies. He warned that failing to address these issues might lead Fiji towards mismanagement of public finances, risking the presence of underutilized universities and the accumulation of privately owned assets funded by public resources.
One significant inefficiency he pointed out is the practice of providing students in private institutions with both government-funded tuition assistance and operational grants. This raises critical questions about the purpose of operational grants if tuition is already subsidized. Dr. Reddy indicated that such dual funding may unjustifiably create profit margins for private educational providers, transforming public funds into private infrastructure, which invites serious accountability dilemmas.
Additionally, Dr. Reddy highlighted the phenomenon of students enrolling in private programs offered by public universities, which leads to the duplication of funding where the government finances both public university capacity and private delivery. This redundancy escalates costs throughout the education system.
Despite these challenges, Dr. Reddy advocates for shifting the conversation from a debate about public versus private education to realigning funding structures with public objectives. He acknowledges the important role of private educational providers, particularly at lower qualification levels, but insists on the necessity of establishing clear funding regulations and accountability mechanisms.
To enhance educational outcomes for every dollar spent, Dr. Reddy calls for a well-structured funding model that eliminates duplication, safeguards public infrastructure, and guarantees transparency. This push for reform not only presents an opportunity for Fiji to refine its approach to tertiary education funding but also promises benefits for students and society as a whole.